Security Alert - Advance Fee Loan Scams

Dear Members,

Consumer Alert: Advance Fee Loan Scams

The Florida Office of Financial Regulation (OFR) warns Floridians of frequent advance fee loan scams. The scam starts when a consumer is told that they qualify for a loan or credit card, but must pay a fee, security deposit or insurance to process their application. Once you pay the fee, the scammer walks away with your money, leaving you without a loan.

To avoid becoming a victim, follow these tips:

Verify the lender license. The OFR provides consumers with convenient online access to licensing information of lenders and investment professionals who are licensed in the State of Florida.

Don’t pay for the promise of a loan. It is illegal for a loan broker to charge any fees in advance of a loan closing.

Question any fees. You may be asked to pay processing and application fees or the first month’s payment. If you are you are assessed a fee prior to closing, and you are not dealing with a licensed lender, you may be the victim of advance fee loan fraud.

Get your agreement in writing. Ask the lender to detail in writing specifically why the fee is being assessed. If you’re dealing with a loan broker and paying an advance fee to receive the loan, chances are it’s a scam.

Be wary of companies that advertise “No Credit Check” or “Guaranteed Loans.” No loan is ever guaranteed.

To report suspicious activity, please file a complaint with the OFR online or call 850.487.9687.

News & Alerts

Routing And Transit Number: 267077850

This credit union is federally insured by the National Credit Union Administration. Your savings federally insured to at least $250,000 and backed by the full faith and credit of the United States Government. National Credit Union Administration, a U.S. Government Agency.